That's according to Mark Scholz, who is president and CEO of the Canadian Association of Oilwell Drilling Contractors.
He says about 44 per cent of the group's 830 rigs were active in 2012, and this year it's looking like about 40 per cent by the end of this year.
Scholz also says it's been difficult to raise money to invest in oil and gas wells, which results in less capital available for new wells.
He also says a lack of pipeline infrastructure to access international markets and the continuing labour shortage will also affect how drillers do this year.
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